C.H. Robinson's CEO Abruptly Steps Down

C.H. Robinson announced that Bob Biesterfeld stepped down as CEO as of Dec. 31, 2022. In its press release, the firm noted it was "an involuntary termination by the Company without cause." The firm did not give a specific reason for the transition. Overall, this was a surprise to us as we haven't been under the impression that execution has materially deteriorated, even amid the trucking and logistics industry's current pullback/normalization phase. That said, this past year the firm encountered pressure from an activist investor (Ancora), which we understand influenced the early 2022 board refresh. Also, third-quarter results came in shy of consensus expectations, and management admitted to overshooting in terms of headcount and has implemented layoffs. Thus, Biesterfeld's departure might have been brewing behind the scenes over the past quarter or so.